FORM 10-Q

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                   (Mark One)

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES  EXCHANGE
                                  ACT OF 1934

                  For the quarterly period ended June 30, 2001

                                       OR

 TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
                                  ACT OF 1934

             For the transition period from ________ to ___________

                        Commission file number: 333-76435


                 WNC HOUSING TAX CREDIT FUND VI, L.P., Series 7


                              California 33-0761517

                (State or other jurisdiction of (I.R.S. Employer
               incorporation or organization) Identification No.)


                         3158 Redhill Avenue, Suite 120
                              Costa Mesa, CA 92626
                    (Address of principal executive offices)

                                 (714) 662-5565
                               (Telephone number)

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days.
Yes     X     No
    ---------     ---------


<PAGE>


                 WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 7
                       (A California Limited Partnership)


                               INDEX TO FORM 10-Q

                       For the Quarter Ended June 30, 2001



PART I. FINANCIAL INFORMATION


      Item 1. Financial Statements

             Balance Sheets
                June 30, 2001 and March 31, 2001 .............................3

             Statements of Operations
                For the three months ended June 30, 2001 and 2000.............4

             Statement of Partners' Equity (Deficit)
                For the three months ended June 30, 2001......................5

             Statement of Cash Flows
                For the three months ended June 30, 2001 and 2000.............6

             Notes to Financial Statements....................................7

      Item 2. Management's Discussion and Analysis of Financial
                Condition and Results of Operations..........................14

      Item 3. Quantitative and Qualitative Disclosures About Market Risks....15

PART II. OTHER INFORMATION

      Item 1. Legal Proceedings..............................................15

      Item 6. Exhibits and Reports on Form 8-K...............................15

      Signatures.............................................................16

                                       2
<PAGE>


                 WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 7
                       (A California Limited Partnership)

                                 BALANCE SHEETS


                 See accompanying notes to financial statements

<TABLE>
<CAPTION>


                                                                     June 30, 2001                 March 31, 2001
                                                                 -----------------------        ----------------------
                                                                      (unaudited)
                                                       ASSETS
<S>                                                           <C>                            <C>

Cash and cash equivalents                                     $               4,836,777      $              5,103,916
Funds held in escrow disbursement accounts                                    2,871,361                     5,664,138
Subscription and notes receivable (Note 5)                                      282,250                       398,750
Investments in limited partnerships (Note 3)                                 12,193,216                     9,482,570
Loans receivable (Note 2)                                                     1,080,974                     1,080,974
Accrued interest receivable and other assets                                     65,267                        65,565
                                                                 -----------------------        ----------------------

                                                              $              21,329,845      $             21,795,913
                                                                 =======================        ======================


                                     LIABILITIES AND PARTNERS' EQUITY (DEFICIT)

Liabilities:
   Due to limited partnerships                                $               4,646,604      $              5,142,481
   Accrued fees and expenses due to General
      Partner and affiliates (Note 4)                                           129,018                       112,886
                                                                 -----------------------        ----------------------

Total liabilities                                                             4,775,622                     5,255,367
                                                                 -----------------------        ----------------------

Commitments and contingencies (Note 7) Partners' equity (deficit) (Note 5):
   General Partner                                                               (1,447)                        (1,424)
   Limited Partners (25,000 units authorized and 18,850
      units issued and outstanding at June 30,  and
      March 31, 2001)                                                        16,555,670                    16,541,970
                                                                 -----------------------        ----------------------

Total partners' equity                                                       16,554,223                    16,540,546
                                                                 -----------------------        ----------------------

                                                              $              21,329,845      $             21,795,913
                                                                 =======================        ======================

</TABLE>
                                       3

<PAGE>


                 WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 7
                       (A California Limited Partnership)

                            STATEMENTS OF OPERATIONS

                For the Three Months Ended June 30, 2001 and 2000
                                   (unaudited)

<TABLE>
<CAPTION>

                                                                   2001                  2000
                                                               Three Months          Three months
                                                             -----------------     ------------------
<S>                                                        <C>                   <C>

Interest income                                            $           50,288    $           66,709
                                                             -----------------     ------------------

Operating expenses:
     Amortization (Note 3)                                             14,229                 5,362
     Asset management fees (Note 4)                                    10,557                 1,744
     Other                                                              8,128                 7,190
                                                             -----------------     ------------------

       Total operating expenses                                        32,914                14,296
                                                             -----------------     ------------------

Income from operations                                                 17,374                52,413
                                                             -----------------     ------------------

Equity in losses of limited partnerships (Note 3)                    (33,557)               (37,176)
                                                             -----------------     ------------------

Net income (loss)                                          $         (16,183)    $           15,237
                                                             =================     ==================

Net income (loss) allocated to:
     General Partner                                       $             (16)    $              152
                                                             =================     ==================

     Limited Partners                                      $         (16,167)    $           15,085
                                                             =================     ==================

Net income (loss) per limited partnership unit             $              (1)    $                1
                                                             =================     ==================

Outstanding weighted average limited partner units                     18,166                 13,180
                                                             =================     ==================


</TABLE>
                                       4




<PAGE>


                 WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 7
                       (A California Limited Partnership)

                     STATEMENT OF PARTNERS' EQUITY (DEFICIT)

                    For the Three Months Ended June 30, 2001
                                   (unaudited)

<TABLE>
<CAPTION>


                                 General Limited
                                                        Partner             Partners                Total
                                                    ----------------     ----------------     ------------------
<S>                                               <C>                  <C>                  <C>

Partners' equity (deficit) at March 31, 2001      $         (1,424)    $     16,541,970     $       16,540,546

Sale of limited partnership units issued for
   promissory notes receivable                                   -               37,000                 37,000

Offering expenses                                               (7)              (7,133)                (7,140)

Net loss                                                       (16)             (16,167)               (16,183)
                                                    ----------------     ----------------     ------------------

Partners' equity (deficit) at June 30, 2001       $         (1,447)          16,555,670             16,554,223
                                                    ================     ================     ==================

</TABLE>
                                       5



<PAGE>


                 WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 7
                       (A California Limited Partnership)

                             STATEMENT OF CASH FLOWS

                For the Three months Ended June 30, 2001 and 2000
                                   (unaudited)
<TABLE>
<CAPTION>

                                                                     2001                     2000
                                                                     ----                     ----
Cash flows from operating activities:
<S>                                                         <C>                      <C>

   Net (loss) income                                        $           (16,183)     $            15,237
   Adjustments to reconcile net income to net cash
      provided by operating activities:
      Amortization                                                        14,229                   5,362
      Equity in losses of limited partnerships                            33,557                  37,176
      Change in accrued interest receivable                                  298                  (5,607)
      Change in accrued fees and expenses due to
       General Partner and affiliates                                     16,132                   1,399
                                                               ------------------       -----------------

Net cash provided by operating activities                                 48,033                  53,567
                                                               ------------------       -----------------

Cash flows from investing activities:
   Investments in limited partnerships, net                           (3,254,309)               (482,417)
   Funds held in escrow disbursement account                           2,792,777                       29
   Capitalized acquisition costs and fees                                       -                 (1,005)
                                                               ------------------       -----------------

Net cash used in investing activities                                   (461,532)               (483,422)
                                                               ------------------ ----- -----------------

Cash flows from financing activities:
   Capital contributions                                                 153,500                3,316,285
   Offering expenses                                                     (7,140)                (252,584)
                                                               ------------------       -----------------

Net cash provided by financing activities                                146,360                3,063,701
                                                               ------------------ ----- -----------------

Net increase (decrease) in cash and cash equivalents                   (267,139)                2,633,875
                                                               ------------------ ----- -----------------

Cash and cash equivalents, beginning of period                         5,103,916                4,295,471
                                                               ------------------ ----- -----------------

Cash and cash equivalents, end of period                    $          4,836,777     $          6,929,346
                                                               ================== ===== =================

SUPPLEMENTAL DISCLOSURE OF CASH
   FLOW INFORMATION
      Taxes paid                                            $                800     $               800
                                                               ================== ===== =================

</TABLE>
                                       6

<PAGE>


                 WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 7
                       (A California Limited Partnership)

                          NOTES TO FINANCIAL STATEMENTS
                              For the Quarter Ended
                                  June 30, 2001
                                   (unaudited)



NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

General

The accompanying condensed unaudited financial statements have been prepared in
accordance with generally accepted accounting principles for interim financial
information and with the instructions to Form 10-Q for quarterly reports under
Section 13 or 15(d) of the Securities Exchange Act of 1934. Accordingly, they do
not include all of the information and footnotes required by generally accepted
accounting principles for complete financial statements. In the opinion of
management, all adjustments (consisting of normal recurring accruals) considered
necessary for a fair presentation have been included. Operating results for the
three months ended June 30, 2001 are not necessarily indicative of the results
that may be expected for the fiscal year ending March 31, 2002. For further
information, refer to the financial statements and footnotes thereto included in
the Partnership's annual report on Form 10-K for the fiscal year ended March 31,
2001.

Organization

WNC Housing Tax Credit Fund VI, L.P., Series 7, (a California Limited
Partnership) (the "Partnership") was formed on June 16, 1997 under the laws of
the state of California. The Partnership began operations on September 3, 1999,
the effective date of its public offering pursuant to Security and Exchange
approval of the Partnership's Pre-Effective Amendment No. 3 to Form S-11 filed
with the Securities and Exchange Commission on July 16, 1999. The Partnership
was formed to invest primarily in other limited partnerships (the "Local Limited
Partnerships") which own and operate multi-family housing complexes (the
"Housing Complexes") that are eligible for low income housing tax credits. The
local general partners (the "Local General Partners") of each Local Limited
Partnership will retain responsibility for maintaining, operating and managing
the Housing Complex.

The general partner is WNC & Associates,  Inc. (the "General Partner").  Wilfred
N. Cooper, Sr., through the Cooper Revocable Trust, owns just less than 66.8% of
the  outstanding  stock of WNC & Associates,  Inc.  John B. Lester,  Jr. was the
original limited partner of the Partnership and owns,  through the Lester Family
Trust,  28.6% of the  outstanding  stock of WNC &  Associates,  Inc.  Wilfred N.
Cooper,  Jr., President of WNC & Associates,  Inc., owns 2.1% of the outstanding
stock of  Associates.  The business of the  Partnership  is conducted  primarily
through WNC & Associates, Inc., as the Partnership has no employees of its own.
The Partnership shall continue in full force and effect until December 31, 2060,
unless terminated prior to that date, pursuant to the partnership agreement or
law.

The financial statements include only activity relating to the business of the
Partnership, and do not give effect to any assets that the partners may have
outside of their interests in the Partnership, or to any obligations, including
income taxes, of the partners.

The Partnership agreement authorized the sale of up to 25,000 units at $1,000
per Unit ("Units"). As of June 31, 2001, 18,850 Units representing subscriptions
in the amount of $18,828,745 had been sold, net of volume discounts of $45 and
$21,210 of dealer discounts, had been accepted. The General Partner has a 0.1%
interest in operating profits and losses, taxable income and losses, cash
available for distribution from the Partnership and tax credits of the
Partnership. The limited partners will be allocated the remaining 99.9% of these
items in proportion to their respective investments.


                                       7
<PAGE>



NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued

After the limited partners have received proceeds from a sale or refinancing
equal to their capital contributions and their return on investment (as defined
in the Partnership Agreement) and the General Partner has received proceeds
equal to its capital contribution and a subordinated disposition fee (as
described in Note 4) from the remainder, any additional sale or refinancing
proceeds will be distributed 90% to the limited partners (in proportion to their
respective investments) and 10% to the General Partner.

Risks and Uncertainties

The Partnership's investments in Local Limited Partnerships are subject to the
risks incident to the management and ownership of low-income housing and to the
management and ownership of multi-unit residential real estate. Some of these
risks are that the low income housing credit could be recaptured and that
neither the Partnership's investments nor the Housing Complexes owned by the
Local Limited Partnerships will be readily marketable. To the extent the Housing
Complexes receive government financing or operating subsidies, they may be
subject to one or more of the following risks: difficulties in obtaining tenants
for the Housing Complexes: difficulties in obtaining rent increases; limitations
on cash distributions; limitations on sales or refinancing of Housing Complexes;
limitations on transfers of Local Limited Partnership Interests: limitations on
removal of Local General Partners; limitations on subsidy programs; and possible
changes in applicable regulations. The Housing Complexes are or will be subject
to mortgage indebtedness. If a Local Limited Partnership does not make its
mortgage payments, the lender could foreclose resulting in a loss of the Housing
Complex and low-income housing credits. As a limited partner of the Local
Limited Partnerships, the Partnership will have very limited rights with respect
to management of the Local Limited Partnerships, and will rely totally on the
Local General Partners of the Local Limited Partnerships for management of the
Local Limited Partnerships. The value of the Partnership's investments will be
subject to changes in national and local economic conditions, including
unemployment conditions, which could adversely impact vacancy levels, rental
payment defaults and operating expenses. This, in turn, could substantially
increase the risk of operating losses for the Housing Complexes and the
Partnership. In addition, each Local Limited Partnership is subject to risks
relating to environmental hazards and natural disasters, which might be
uninsurable. Because the Partnership's operations will depend on these and other
factors beyond the control of the General Partner and the Local General
Partners, there can be no assurance that the anticipated low income housing
credits will be available to Limited Partners.

In addition Limited Partners are subject to risks in that the rules governing
the low income housing credit are complicated, and the use of credits can be
limited. The only material benefit from an investment in Units may be the low
income housing credits. There are limits in the transferability of Units, and it
is unlikely that a market for Units will develop. All management decisions will
be made by the General Partner.

                                       8
<PAGE>



NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued

Method of Accounting for Investments in Limited Partnerships

The Partnership intends to account for its investments in limited partnerships
using the equity method of accounting, whereby the Partnership will adjust its
investment balance for its share of the Local Limited Partnership's results of
operations and for any distributions received. The accounting policies of the
Local Limited Partnerships are expected to be consistent with those of the
Partnership. Costs incurred by the Partnership in acquiring the investments will
be capitalized as part of the investment and amortized over 30 years (see Note
3).

Offering Expenses

Offering expenses are expected to consist of underwriting commissions, legal
fees, printing, filing and recordation fees, and other costs incurred in
connection with the selling of limited partnership interests in the Partnership.
The General Partner is obligated to pay all offering and organization costs
inclusive of selling commissions and dealer manager fees, in excess of 4% of the
total offering proceeds. Offering expenses are reflected as a reduction of
limited partners' capital and amounted to $2,429,245 and $2,422,105 as of June
30, 2001 and March 31, 2001, respectively.

Use of Estimates

The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements, and
the reported amounts of revenues and expenses during the reporting period.
Actual results could materially differ from those estimates.

Cash and Cash Equivalents

The Partnership considers all highly liquid investments with remaining
maturities of three months or less when purchased to be cash equivalents. As of
June 30, 2001 and March 31, 2001 the Partnership had cash equivalents of
$2,147,000 and $2,128,000, respectively. These amounts consist primarily of tax
exempt instruments collateralized by tax exempt municipal bonds from various
municipalities throughtout the United States. These instruments generate tax
exempt yields and generally have 35 days or less maturities.

Concentration of Credit Risk

At June 30, 2001, the Partnership maintained cash balances at certain financial
institutions in excess of the federally insured maximum.

Net Income Per Limited Partner Unit

Net income per limited partnership unit is calculated pursuant to Statement of
Financial Accounting Standards No. 128, Earnings Per Share. Net income per unit
includes no dilution and is computed by dividing income available to limited
partners by the weighted average number of units outstanding during the period.
Calculation of diluted net income per unit is not required.

                                       9

<PAGE>



NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued

Reporting Comprehensive Income

In June 1997, the FASB issued Statement of Financial Accounting Standards
("SFAS") No. 130, Reporting Comprehensive Income. This statement establishes
standards for reporting the components of comprehensive income and requires that
all items that are required to be recognized under accounting standards as
components of comprehensive income be included in a financial statement that is
displayed with the same prominence as other financial statements. Comprehensive
income includes net income as well as certain items that are reported directly
within a separate component of partners' equity and bypass net income. For the
periods presented, the Partnership has no elements of other comprehensive
income, as defined by SFAS No. 130.

NOTE 2 - LOANS RECEIVABLE

Loans receivable represent amounts loaned by the Partnership to certain Local
Limited Partnerships in which the Partnership may invest. These loans are
generally applied against the first capital contribution due if the Partnership
ultimately invests in such entities. In the event that the Partnership does not
invest in such entities, the loans are to be repaid with interest at a rate,
which is equal to the rate charged to the holder. At June 30, 2001, loans
receivable were due from five different Local Limited Partnerships. As of
September 18, 2001, the Partnership has invested in one of these Local Limited
Partnerships to which it had a loan outstanding of $150,000 at June 30, 2001
(see note 7).

NOTE 3 - INVESTMENTS IN LIMITED PARTNERSHIPS

As of June 30, 2001 and March 31, 2001, the Partnership has acquired limited
partnership interests in ten and eight Local Limited Partnerships, respectively.
Each Local Limited Partnership owns one Housing Complex consisting of an
aggregate of 362 and 291 apartment units, respectively. As of June 30, 2001
construction or rehabilitation of five of the Housing Complexes were still in
process. The respective general partners of the Local Limited Partnerships
manage the day-to-day operations of the entities. Significant Local Limited
Partnership business decisions require approval from the Partnership. The
Partnership, as a limited partner, is generally entitled to 99.98%, as specified
in the Local Limited Partnership agreements, of the operating profits and
losses, taxable income and losses and tax credits of the Local Limited
Partnerships.

Equity in losses of the Local Limited Partnerships is recognized in the
financial statements until the related investment account is reduced to a zero
balance. Losses incurred after the investment account is reduced to zero are not
recognized. If the Local Limited Partnerships report net income in future years,
the Partnership will resume applying the equity method only after its share of
such net income equals the share of net losses not recognized during the
period(s) the equity method was suspended.

Distributions received by limited partners are accounted for as a reduction of
the investment balance. Distributions received after the investment has reached
zero are recognized as income. As of June 30, 2001, no investment accounts in
Local Limited Partnerships has reached zero.


                                       10
<PAGE>



NOTE 3 - INVESTMENTS IN LIMITED PARTNERSHIPS, continued

Following is a summary of the equity method activity of the investments in
limited partnerships for the periods presented:
<TABLE>
<CAPTION>

                                                               For the Three months
                                                                      Ended                 For the Year Ended
                                                                  June 30, 2001               March 31, 2001
                                                              -----------------------   ----------------------------
<S>                                                         <C>                       <C>

  Investment per balance sheet, beginning of period         $             9,482,570   $                  1,284,221
  Capital contributions paid, net                                         3,254,309                      2,205,074
  Capital contributions payable                                           (495,877)                      5,071,026
  Capitalized acquisition fees and costs                                          -                      1,053,270
  Equity in losses of limited partnerships                                  (33,557)                      (90,404)
  Amortization of capitalized
    acquisition fees and costs                                              (14,229)                       (40,617)
                                                              -----------------------   ----------------------------

  Investment per balance sheet, end of period               $             12,193,216  $                  9,482,570
                                                              =======================   ============================
</TABLE>

Selected financial information for the three months ended June 30, 2001 and 2000
from the unaudited combined condensed financial statements of the limited
partnerships in which the Partnership has invested as follows:
<TABLE>
<CAPTION>

                     COMBINED CONDENSED STATEMENT OF OPERATIONS

                                                                       2001                   2000
                                                                 -------------------    ------------------
<S>                                                            <C>                    <C>

         Revenue                                               $           371,000    $           45,000
                                                                 -------------------    ------------------

         Expenses:
           Interest expense                                                177,000                15,000
           Depreciation                                                     52,000                28,000
           Operating expenses                                              175,000                39,000
                                                                 -------------------    ------------------
             Total expenses                                                404,000                82,000
                                                                 -------------------
                                                                                        ------------------
         Net loss                                              $           (33,000)   $          (37,000)
                                                                 ===================    ==================
         Net loss allocable to the
              Partnership                                      $           (33,000)   $          (37,000)
                                                                 ===================    ==================
         Net loss recorded by the
              Partnership                                      $           (33,000)   $          (37,000)
                                                                 ===================    ==================

</TABLE>
                                       11
<PAGE>



NOTE 4 - RELATED PARTY TRANSACTIONS

The Partnership has no officers, employees, or directors. However, under the
terms of the Partnership Agreement the Partnership is obligated to the General
Partner or its affiliates for the following fees:

   (a)   Acquisition fees of 7% of the gross proceeds from the sale of Units as
         compensation for services rendered in connection with the acquisition
         of Local Limited Partnerships. As of June 30, 2001 and March 31, 2001,
         the Partnership incurred acquisition fees of $1,319,500. Accumulated
         amortization of these capitalized costs were $45,878 and $34,881 as of
         June 30, 2001 and March 31, 2001, respectively.

   (b)   Acquisition costs of 2% of the gross proceeds from the sale of Units as
         full reimbursement of costs incurred by the General Partner in
         connection with the acquisition of Local Limited Partnerships. As of
         June 30, 2001 and March 31, 2001, the Partnership incurred acquisition
         costs of $377,000. Accumulated amortization were $13,366 and $10,134 as
         of June 30, 2001 and March 31, 2001, respectively.

   (c)   An annual asset management fee not to exceed 0.2% of the invested
         assets (defined as the Partnership's capital contributions plus
         reserves of the Partnership of up to 5% of gross proceeds plus its
         allocable percentage of the mortgage debt encumbering the housing
         complexes) of the Local Limited Partnerships. Management fees of
         $10,557 were incurred during the three months ended June 30, 2001.

    (d)  A subordinated disposition fee in an amount equal to 1% of the sales
         price of real estate sold. Payment of this fee is subordinated to the
         limited partners receiving a return on investment (as defined in the
         Partnership Agreement) and is payable only if the General Partner or
         its affiliates render services in the sales effort.

The accrued fees and expenses due to the General Partner and affiliates consist
of the following at:
<TABLE>
<CAPTION>

                                                                          June 30, 2001           March 31, 2001
                                                                     ------------------------  ---------------------
<S>                                                                <C>                       <C>
Interest payable to Local Limited Partnerships                     $                  67,743 $               66,436
Organizational, offering and selling costs payable                                    22,225                 21,735
Asset management fee payable                                                          31,722                 24,715
Reimbursement for expenses paid by the General Partner or
  an affiliate                                                                         7,328                      -
                                                                     ------------------------  ---------------------

                                                                   $                 129,018 $              112,886
                                                                     ========================  =====================
</TABLE>

The General Partners do not anticipate that the accrued fees will be paid until
such time as capital reserves are in excess of future foreseeable working
capital requirements.

                                       12
<PAGE>



NOTE 5 - SUBSCRIPTIONS AND NOTES RECEIVABLE

As of June 30, 2001, the Partnership had received subscriptions for 18,850 units
which included promissory notes of $282,250, of which $282,250 of the promissory
notes were collected after June 30, 2001 and prior to the issuance of these
financial statements, leaving an unpaid balance of $0. Limited partners who
subscribed for ten or more units of limited partnerships interest ($10,000)
could elect to pay 50% of the purchase price in cash upon subscription and the
remaining 50% by the delivery of a promissory note payable, together with
interest at a rate equal to the three month treasury bill rate as of the date of
execution of the promissory note, due no later than 13 months after the
subscription date.

NOTE 6 - INCOME TAXES

No provision for income taxes has been recorded in the financial statements, as
any liability for income taxes is the obligation of the partners of the
Partnership.

NOTE 7 - COMMITMENTS AND CONTINGENCIES

Subsequent to June 30, 2001 and through September 26, 2001, the Partnership
acquired one additional Local Limited Partnership interests, which required
capital contributions of $300,271. Of this amount, $135,287 has been contributed
subsequent to June 30, 2001 and prior to the issuance of these financial
statements.



                                       13
<PAGE>



Item 2. Management's  Discussion and Analysis of Financial Condition and Results
of Operations

Forward Looking Statements

With the exception of the discussion regarding historical information,
"Management's Discussion and Analysis of Financial Condition and Results of
Operations" and other discussions elsewhere in this Form 10-Q contain forward
looking statements. Such statements are based on current expectations subject to
uncertainties and other factors, which may involve known and unknown risks that
could cause actual results of operations to differ materially from those
projected or implied. Further, certain forward-looking statements are based upon
assumptions about future events, which may not prove to be accurate.

Risks and uncertainties inherent in forward looking statements include, but are
not limited to, our future cash flows and ability to obtain sufficient
financing, level of operating expenses, conditions in the low income housing tax
credit property market and the economy in general, as well as legal proceedings.
Historical results are not necessarily indicative of the operating results for
any future period.

Subsequent written and oral forward looking statements attributable to us or
persons acting on our behalf are expressly qualified in their entirety by
cautionary statements in this Form 10-Q and in other reports we filed with the
Securities and Exchange Commission. The following discussion should be read in
conjunction with the Consolidated Financial Statements and the Notes thereto
included elsewhere in this filing.

The following discussion and analysis compares the results of operations for the
fiscal quarter ended June 30, 2001 and 2000, and should be read in conjunction
with the condensed consolidated financial statements and accompanying notes
included within this report.

Financial Condition

The Partnership's assets at June 30, 2001 consisted primarily of $4,837,000 in
cash and cash equivalents, $2,871,000 in cash in escrow, aggregate investments
in the ten Local Limited Partnerships of $12,193,000 and $1,081,000 in loans
receivable. Liabilities at June 30, 2001 primarily consisted of $4,647,000 due
to limited partnerships, $61,000 of accrued asset management fees, commissions
payable, and reimbursements due to the General Partner or affiliates and $67,000
in interest payable.

Results of Operations

Three Months Ended June 30, 2001 Compared to Three Months Ended June 30, 2000.
The Partnership's net loss for the three months ended June 30, 2001 was
$(16,000), reflecting an increase in loss of $(30,000) from the $15,000 net gain
experienced for the three months ended June 30, 2000. The increase in net loss
was primarily due to a decrease in operation gain of (35,000) from $52,000 to
$17,000 for the three months ended June 30, 2000 and 2001, respectively. The
operation change due to a decrease of $(16,000) in interest income, from $66,000
to $50,000 for the three months ended June 30, 2000 and 2001, respectively.
Also, an increase of $(19,000) in operation expenses from $14,000 to $33,000 for
the three months ended June 30, 2000 and 2001, respectively. The change is
offset by a decrease in equity in losses of Local Limited Partnerships of $4,000
from $(37,000) to $(33,000) for the three months ended June 30, 2000 and 2001,
respectively.

 Cash Flows

Three months Ended June 30, 2001 Compared to Three months Ended June 30, 2000.
Net decreased in cash during the three months ended June 30, 2001 was $267,000
compared to a net increase in cash of $2,634,000 for the three months ended June
30, 2000. The decrease in net cash used is due primarily to $2,917,000 decrease
in net cash used in financing activities due to the completion of syndication
process.

The Partnership  expects its future cash flows,  together with its net available
assets at June 30, 2001,  to be  sufficient  to meet all  currently  foreseeable
future cash requirements.
                                       14
<PAGE>

Item 3: Quantitative and Qualitative Disclosures Above Market Risks

         NOT APPLICABLE


Part II.  Other Information

Item 1.  Legal Proceedings

         NONE

Item 6.  Exhibits and Reports on Form 8-K

(b)      Reports on Form 8-K: WNC Housing Tax Credit Fund VI, L.P., Series 7

1. A Form 8-K dated October 2, 2000 was filed on October 11, 2000  reporting the
acquisition  of a  Local  Limited  Partnership.  No  financial  statements  were
included.

2.            A Form 8-K/A was filed on December 18, 2000 amending the Form 8-K
              dated October 2, 2000. Pro forma financial information respecting
              the acquisition was included.

3. A Form 8-K dated December 29, 2000 was filed on January 2, 2001 reporting the
acquisition  of a  Local  Limited  Partnership.  No  financial  statements  were
included.

                                       15
<PAGE>


Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.

WNC HOUSING TAX CREDIT FUND VI, L.P., Series 7
----------------------------------------------
(Registrant)

By:   WNC & Associates, Inc., General Partner of the Registrants



By:   /s/ Wilfred N. Cooper, Jr.
       -------------------------
Wilfred N. Cooper, Jr.
President - Chief Operating Officer of WNC & Associates, Inc.

Date: September 26, 2001



By:  /s/ Thomas J. Riha
Thomas J. Riha
Vice President - Chief Financial Officer of WNC & Associates, Inc.

Date: September 26, 2001



                                       16